India ranks third globally in Renewable Energy Installed Capacity. As of March 2026, India had installed 283.5 gigawatts (GW) of non-fossil-fuel power generation capacity. Renewables met 51.5% of total electricity demand, which was 203 GW.
However, India’s goals are even more ambitious. The country aims to achieve a non-fossil-fuel capacity of 500 GW by 2030. Thus, the next challenge is no longer only adding renewable capacity. It will ensure that the electricity generated can be stored and supplied when needed. This makes energy storage a critical pillar of India’s clean energy transition.
Energy Storage systems store excess power during periods of high generation and supply it when demand rises. In doing so, it helps manage peak loads and improve grid stability. This has made the expansion of energy storage systems as important as scaling renewable capacity.
The 174 GW Storage Opportunity
India’s energy storage market is now entering a phase of rapid expansion. According to India’s National Generation Adequacy Plan, the country’s total energy storage capacity is expected to reach 174 GW by FY36 – a 23x growth from current levels. A large part of this capacity will come from two technologies.
Pumped Storage Projects are expected to contribute 94 GW, equivalent to 567 GWh, with six hours of storage. Battery Energy Storage Systems (BESS) are projected to add 80 GW of capacity, equivalent to 321 GWh of storage, with four hours of storage. In our previous story, we covered how Waaree, Pace Digitek, and Acme Solar are expanding their BESS capacity.
Policy Tailwinds: Inside the ₹5,400 Crore Clean Energy VGF Framework
The government is also creating supportive policies to accelerate deployment. It has introduced Energy Storage Obligations, waived interstate transmission charges for eligible projects, and also approved a Viability Gap Funding scheme to improve project viability.
These measures are encouraging utilities and developers to invest in energy storage alongside renewable energy projects. The impact is already becoming visible. Annual BESS capacity additions are expected to grow from 507 MWh in 2025 to around 5 GWh by 2027. Total installed energy storage capacity stands at about 7.5 GWh, while the project pipeline exceeds 140 GWh.
As adoption gathers pace, the opportunity will extend beyond battery storage projects. Against this backdrop, we look at three companies with some of the largest planned additions in energy storage capacity.
#1 Five Times Paris: Inside Adani Green’s Massive 30 GW Khavda Expansion Plan
Adani Green Energy (AGEL), part of the Adani Group, is India’s largest renewable energy company. AGEL has a renewable energy capacity of 19.3 GW across 12 resource-rich states in India. It added 5.1 GW of new greenfield capacity during FY26, the highest annual greenfield capacity expansion globally by any company outside China.
Scaling Infrastructure at the Khavda Renewable Site
AGEL’s installation in Khavda, Gujarat, is the world’s largest single-location renewable energy site. This Park is built on barren, uncultivable land spanning 538 square kilometers, an area roughly five times the size of Paris. AGEL has commissioned 9.4 GW of solar, wind, and hybrid capacity at this single site.
AGEL aims to develop a capacity of 30 GW at Khavda by FY29. It also aims to achieve a total renewable capacity of 50 GW by 2030. To this end, it has secured approximately 250,000 acres of resource-rich land. In addition to targets for over 10 GWh of battery storage, the company has also secured sites for more than 5 GW of pumped-hydro energy storage.
BESS is a key driver of its renewable energy expansion. AGEL successfully operationalized 1.4 GWh of battery storage capacity in FY26. Management also stated that the company is currently very close to reaching 3 GWh of overall battery storage capacity. The company claims this capacity is equal to all the battery storage capacities in this country as we stand.
Utility-Scale Storage Tariffs and Front-of-the-Meter Deployment
Moreover, AGEL has set an aggressive target to reach 10+ GWh of Front-of-the-Meter BESS capacity by FY27. Front-of-the-meter batteries are utility-scale systems connected directly to the transmission/distribution networks. This allows them to provide broad grid stability and energy shifting.
The company plans to continue deploying battery storage at the same rapid rate they have already demonstrated. AGEL’s ultimate goal is to increase energy storage capacity to 50 GWh over the next five years. After establishing capacity in Gujarat, AGEL is planning to develop BESS in Rajasthan as well.
AGEL has also secured over 5 GW of pumped hydro storage sites for future development. These projects are planned across multiple states, including Maharashtra, Andhra Pradesh, Telangana, Assam, Tamil Nadu, and Uttar Pradesh. The very first 0.5 GW of pumped hydro storage projects at Chitravathi, Andhra Pradesh, are scheduled for completion in FY27.
Analyzing FY26 Profit Margins and Leverage Headwinds
From a financial perspective, revenue rose by 15.3% year-on-year to ₹12,928 crore, driven by the addition of 5.1 GW of new capacity during FY26. Operating profit increased by 21.3% to ₹10,785 crore, while the margin expanded by 400 bps to 83%. However, net profit remained flat at ₹1,987 crore, slightly lower than the ₹2,001 crore in FY25.
However, cash profit rose 11% to ₹5,399 crore in FY26, driven by strong operating performance and higher non-cash charges such as depreciation. This highlights AGEL’s healthy internal cash-generating ability. The company’s net debt-to-run-rate EBITDA is on the high side at 5.7x.
#2 JSW Energy Plans to Leverage 40 GWh Storage Capacity by 2030
JSW Energy, part of the JSW Group, is one of India’s largest and most diversified Independent Power Producers. As of 31 March, 2026, JSW has an operational capacity of 13.45 GW, and its assets are strategically spread across 14 states in India. The company aims to reach 30 GW of generation capacity by FY30.
How Strategy 3.0 Controls JSW’s 40 GWh Allocation Mix
BESS is a key pillar of JSW Energy’s transition towards a future-ready, clean energy portfolio. Under its “Strategy 3.0” framework, JSW is targeting a total energy storage capacity of 40 GWh by 2030. The company spent 97% of its research and development expenditure in FY26 on BESS.
It currently has a locked-in energy storage capacity of 29.6 GWh. Of this, 3.2 GWh is BESS, while the remaining 26.4 GWh comes from Pumped Hydro Storage projects. Integrating BESS with renewable energy generation enables the transformation of intermittent clean energy into ‘firm and dispatchable renewable energy.’
In-House Production Dynamics at the Pune Assembly Facility
This helps in providing round-the-clock electricity. To de-risk its supply chain and reduce costs, JSW is backward-integrating into BESS. JSW has commissioned a 5 GWh battery assembly facility in Pune during Q4 of FY26. Commercial sales of battery storage from this plant have already commenced.
In-house battery pack assembly helps JSW reduce costs and remain strongly competitive against imports, even as cell pack prices fluctuate. Moreover, this domestic facility helps the company meet the Government of India’s domestic content requirements.
With the expansion of its clean energy portfolio, JSW’s power generation mix could comprise 70% renewable and 30% thermal power by 2030. It also recently commissioned India’s largest commercial-scale green hydrogen plant. The plant can produce 3,800 tonnes per annum (TPA) of green hydrogen.
Financial Performance Profiles and Structural Leverage Headwinds
From a financial perspective, the company’s total income grew by 57% year-on-year to ₹19,878 crore. Operating profit surged 80.6% to ₹11,041 crore, with margins at 56%, up 800 bps. As a result, net profit surged 39.3% to ₹2,762 crore. JSW also carries a heavy debt load, with a net debt-to-EBITDA ratio of approximately 6.0x (specifically 5.96).
#3 Vikram Solar Targets 15 GWh BESS Capacity by FY30
Vikram Solar is a leading Indian solar energy company that is currently transitioning from a pure solar module manufacturer into a fully integrated energy solutions provider. Its current solar module capacity is 9.5 GW, making it one of the largest solar manufacturers outside of China.
Capital Allocations and the VION Storage
Vikram views BESS as its next growth engine, positioning itself to deliver “solar plus storage” as reliable, dispatchable power. The company is targeting 15 GWh of integrated BESS capacity by FY30. This will make it one of India’s largest BESS facilities. The long-term ambition is to reach 30 GWh of capacity.
Of this, it will commercialise a 5 GWh cell-to-pack assembly facility in FY27. Subsequently, Vikram will undertake backward integration into battery cell manufacturing and commission an initial 7.5 GWh capacity for integrated cell and BESS manufacturing in FY29. In FY30, the cell manufacturing capacity will be scaled up from 7.5 GWh to the full target of 15 GWh.
The company recently launched a battery solutions brand called “VION”. Its product portfolio spans use-cases, including residential home UPS batteries, e-rickshaw battery packs, and large liquid-cooled BESS cabinets and containers for Commercial & Industrial.
Furthermore, Vikram aims to achieve 100% backward integration from raw ingots to finished modules by FY30. This strategy aims to capture upstream value, increase profit, and eliminate the structural risk of relying on imported solar cells and wafers from China.
Upstream Supply Chain Dynamics at the Gangaikondan Campus
To this end, module capacity is increasing to 15.5 GW. The company is constructing a 9 GW N-type TOPCon Plus cell plant. It is expected to produce its first cells by the end of 2026, enabling the company to achieve 70% backward integration. Another 3 GW back-contact cell plant is slated for FY28, making it India’s first-ever XBC cell manufacturing facility.
In the final phase, a 12 GW wafer-and-ingot facility will be constructed in two stages, each 6 GW. This will make the Gangaikondan site into a single, fully integrated campus. It will span from ingot to module, thereby eliminating transportation costs between production stages and preventing material losses during transit.
Financial Performance Profiles and FY27 Operating Projections
From a financial standpoint, total income grew by 40% year-on-year to ₹4,802 crore. Operating profit surged 86% to ₹917 crore, while margins expanded by 500 bps to 19%. As a result, net profit surged 236% to ₹470 crore. The company expects the operating profit to surge 74% to ₹1,500 to ₹1,600 crore in FY27.
Here’s a summary of where each of these companies is at this juncture:
| Particulars | Adani Green | JSW Energy | Vikram Solar |
| Energy Storage Capacity (GWh) | 50 | 40 | 15 |
| By When | FY31 | FY30 | FY30 |
| FY26 Revenue (₹ crore) | 12,928 | 19,878 | 4,802 |
| FY26 Net Profit (₹ crore) | 1,987 | 2,762 | 470 |
| Source: Management Commentaries and Investor Presentations | |||
The table shows that Adani Green and JSW Energy have the largest energy storage pipeline at 50 GWh and 40 GWh, while Vikram has 15 GWh under development.
Structural Valuation: Returns Analysis vs Peer Averages
Vikram Solar has higher Return on Capital Employed (ROCE) and Return on Equity (ROE) than JSW and AGEL. Valuation-wise, JSW and AGEL are trading at a premium to the industry median, while Vikram is trading at a discount. Compared to its median valuation over the past five years, JSW is trading at the same level, whereas AGEL is trading at a discount.
Nevertheless, AGEL’s valuation remains quite high.
| Peer Comparison (X) | |||||
Company | Price-to-Earnings Multiple | Return Ratios | |||
| Company | 5Y Median | Industry | ROCE (%) | ROE (%) | |
| JSW | 44.8 | 44.9 | 23.6 | 8.2 | 7.5 |
| AGEL | 134.0 | 180.8 | 23.6 | 7.4 | 11.4 |
| Vikram | 14.8 | NA | 30.9 | 30.5 | 21.5 |
| Source: Screener.in (Data as of 09 July 2026) | |||||
India’s energy storage opportunity is expanding rapidly alongside renewable capacity, but the three companies are approaching it differently. AGEL is building storage to support its massive renewable portfolio. JSW Energy is combining utility-scale deployment with in-house battery assembly.
Vikram Solar is integrating battery manufacturing with its solar business. However, it’s still in its early stages, and the eventual winners will depend on who executes better, allocates capital more effectively, and generates attractive returns from these large investments.
Key red flags that can impact these businesses include margin compression from rising silver and copper costs, logistics disruptions, delayed facility execution, regulatory uncertainty slowing domestic demand, and the risk of industry overcapacity. That said, these names could be kept in your watchlist to track their execution.
Disclaimer:
Note: Throughout this article, we have relied on data from http://www.Screener.in and the company’s investor presentation. Only in cases where the data was unavailable have we used an alternative, widely used, and accepted source of information.
The purpose of this article is only to share interesting charts, data points, and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educational purposes only.
About the Author: Madhvendra has been deeply immersed in the equity markets for over seven years, combining his passion for investing with his expertise in financial writing. With a knack for simplifying complex concepts, he enjoys sharing his honest perspectives on startups, listed Indian companies, and macroeconomic trends.
A dedicated reader and storyteller, Madhvendra thrives on uncovering insights that inspire his audience to deepen their understanding of the financial world.
Disclosure: The writer and his dependents do not hold the stocks discussed in this article.
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